The Guyana Geology and Mines Commission (GGMC) has warned mining tenure holders against selling or purporting to sell lands granted for mining, saying that irrevocable powers of attorney and private agreements do not establish ownership or lawful tenure.
In an advisory posted on its Facebook page, the commission said the practice of selling mining lands granted by it was “seriously engaging” its attention.
Mining lands and related tenures are granted to individuals and companies for the specific purpose of conducting mining activities, the GGMC said. The grants are governed by applicable laws, regulations and their terms and conditions.
Tenure holders were therefore warned against selling, assigning or purporting to transfer mining lands where such transactions were not authorised under the legal and regulatory framework.
The commission also discouraged the use of irrevocable powers of attorney to effect or facilitate the purported sale, transfer or acquisition of mining properties.
“An Irrevocable Power of Attorney, in itself, is not acceptable proof of ownership or lawful tenure of mining property,” the GGMC said.
It urged persons to exercise caution when entering arrangements based on such instruments and warned that private agreements, powers of attorney, receipts and similar documents should not be relied upon as evidence that someone has the legal right to sell or transfer a mining property.
The GGMC acknowledged that investors, miners and other stakeholders could legitimately collaborate in developing mining properties. It encouraged interested persons to use properly structured joint ventures or other lawful arrangements.
Such agreements, it said, should be documented and submitted to the commission for its consideration and approval.
Persons contemplating transactions involving mining lands were advised to seek clarification from the GGMC before entering agreements or making financial commitments.
The commission said it would continue monitoring the matter and take regulatory or other action where necessary to protect the integrity of the mining-tenure system and prevent unauthorised or irregular transactions.
It reiterated that mining lands granted for mining purposes should not be sold and that irrevocable powers of attorney should not be treated as proof of ownership or lawful tenure.
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